Today we’ll check out Neighbors Bank, a company that refers to itself as a “hometown bank” that got its start all the way back in 1945 in Clarence, Missouri.
It originally served folks in the counties of Shelby, Macon, and Monroe before making a digital transformation in 2018, when a name change was made to align with its fresh new look.
The company says it still operates under the same values, though instead of focusing solely on individuals and families in rural America, they provide home loans to borrowers nationwide.
They also offer financing on some unique properties, including mobile homes and even barndominiums.
Let’s more about them.
Neighbors Bank Fast Facts
- A FDIC insured depository bank and direct-to-consumer mortgage lender
- Offers both home purchase financing and refinance loans (and formerly savings accounts)
- Founded in 1945, headquartered in Columbia, Missouri
- Licensed to do business in all 50 states and D.C.
- Operate like an online bank (only one brick-and-mortar location)
- Calls itself one of the Top 3 USDA lenders in the United States
As noted, and as their name implies, Neighbors Bank is a depository that holds money for its customers via savings accounts.
While they aren’t currently accepting new online savings accounts, they’ll be able to take your mortgage application, whether it’s for a home purchase or a mortgage refinance.
Despite being a brick-and-mortar bank with more than 70 years of history, they actually only operate one physical location in Columbia, Missouri.
This means you’ll be working remotely if you choose Neighbors Bank for your home loan needs.
But this can be a good thing as they’ve invested in the latest technology, including a digital mortgage process and a free smartphone app.
That lack of overhead might also translate into a lower mortgage rate with fewer fees, though you’ll still need to comparison shop!
Another plus is the company is licensed to do business in all 50 states and the District of Columbia, so they’re available to all.
One interesting tidbit is they refer to themselves as a Top 3 USDA lender in the United States and have the proof.
How to Apply for a Mortgage with Neighbors Bank
- To get started simply call them or fill out a short form on their website
- A loan consultant will get in touch to discuss eligibility and mortgage rates
- When ready to apply they offer a digital mortgage experience that is mostly paperless
- Once submitted you can track loan progress 24/7 and satisfy conditions via the online borrower portal
You’ve basically got two options to get the ball rolling – either pick up the phone and call them directly, or fill out a short lead form on their website.
If you do the latter, you’ll just need to answer a series of questions about yourself and your property (or soon-to-be property).
From there, a Neighbors Bank loan specialist will get in touch to discuss loan options, eligibility, and mortgage rates.
It’s also possible to get pre-qualified for a mortgage if you’re still shopping for a suitable home.
Assuming you like what you hear, you’ll be prompted to begin the online digital mortgage application, which appears to be powered by fintech company Blend.
It allows you to perform most tasks electronically, whether it’s filling out the app itself, scanning/uploading documents, or eSigning disclosures.
Their online borrower portal is also where you’ll sign in to monitor your progress 24/7 and tackle your to-do list as you make your way to the finish line.
All in all, they make it easy to apply for a home loan and get status updates thanks to their use of the latest technologies.
Loan Programs Offered by Neighbors Bank
- Home purchase loans
- Refinance loans: rate and term and cash out
- Conventional loans backed by Fannie Mae and Freddie Mac
- Jumbo loans
- FHA loans
- VA loans
- USDA loans
- Low down payment loans
- Fixed-rate and adjustable-rate options available in a variety of loan terms
Neighbors Bank offers both home purchase financing and mortgage refinance loans, and says it specializes in low down payment loans.
This means they serve first-time home buyers, along with existing homeowners who are looking to save money (rate and term refinance) or those in need of money (cash out refinance).
You can get a conventional loan backed by Fannie Mae and Freddie Mac, or a government-backed loan, such as an FHA loan, USDA loan, or VA loan.
And they do offer jumbo loans, so those with larger loan amounts can work with them as well.
Those main loan types cover much of the population, though borrowers looking for specialty loans may not find what they’re looking for.
As noted though, they finance a variety of unique properties, including mobile homes, manufactured homes, condominiums, multi-unit properties, and yes, barndominiums too!
It’s unclear if they offer home renovation loans, including FHA 203k or Fannie Mae HomeStyle, but there’s a decent chance they do.
The same goes for second mortgages, which don’t appear to be available at Neighbors Bank.
The good news is you can get a fixed-rate or adjustable-rate mortgage in a variety of loan terms, whether it’s a 30-year fixed, a 5/1 ARM, or something in between.
Neighbors Bank Mortgage Rates
One slight downside to Neighbors Bank is the fact that they don’t publicize their mortgage interest rates on their own website.
While you might come across them on third-party websites, it’d be nice if they posted daily rates directly for prospective customers to see.
Still, this doesn’t mean their mortgage rates are any less competitive than other banks and lenders, but it does mean you’ll need to get in touch with someone to find out where they stand.
As noted, you may also come across them if shopping rates online, as they do seem to advertise quite a bit on websites like Zillow.
From my own experience, they appeared to offer low rates, but perhaps not the absolute lowest of the many lenders listed in the online comparison tables.
As always, put in the time to shop with Neighbors Bank and other lenders to ensure you receive the lowest interest rate on your mortgage.
And don’t forget about the lender fees! To that end, Neighbors Bank doesn’t mention what fees they charge, so it’s unclear if they charge a loan origination fee or other common fees like underwriting or processing fees.
Neighbors Bank Reviews
On Zillow, Neighbors Bank has a solid 4.50-star rating out of 5 from about 200 reviews, with many highlighting the ease of working with them, along with the attention to customer service.
And on Google, they have a 4.7-star rating out of 5 from nearly 650 customer reviews.
Additionally, they’ve got a 4.7-star rating out of 5 on Trustpilot from over 400 reviews, which is still considered “excellent.”
The company also has nearly 500 customer reviews on its own website, with a 4.8 out of 5 customer satisfaction rating and 96% saying they’d recommend Neighbors Bank.
Lastly, the company is Better Business Bureau accredited or currently has a perfect A+ rating based on customer complaint history. They also have a 4.2/5 from BBB customer reviews.
In summary, Neighbors Bank appears to offer the latest technology combined with a human touch, noting that both friendly, personal service and mortgage expertise are critical to the process.
Assuming their mortgage rates and lender fees are also competitive, they could be a viable option for your home loan needs, whether it’s a new home purchase or a refinance.
Being a top USDA lender means they could be a great choice for someone buying a home in a rural area.
Chances are they’ll know the USDA loan program in and out and do well to close on time without any hiccups.
As for other loan types, it would come down to pricing and perhaps service as the differentiator. You’d also need to be comfortable working remotely as they don’t have physical branches.
Neighbors Bank Pros and Cons
The Good
- Can apply for a mortgage online in minutes
- Offer a digital home loan experience and online borrower portal
- Plenty of home loan programs to choose from
- A top USDA lender
- Finance unique properties including mobile/manufactured
- Licensed to do business nationwide
- FDIC-insured depository bank
- Excellent reviews from past customers
- A+ BBB rating and accredited business
- Free smartphone app
The Perhaps Not
- Only one physical location
- Do not publicize mortgage rates or lender fees
- Don’t appear to second mortgages
- Why Mortgage Rates Went Up This Time - October 30, 2025
- Mortgage Rates Tend to Go the Opposite Way of the Fed on Fed Day - October 29, 2025
- Soon You’ll Be Able to Pay the Mortgage with Venmo - October 28, 2025